Greatland Gold PLC (AIM:GGP, OTC:GRLGF) could become the second lowest cost gold company globally, according to the parameters set out by a pre-feasibility study just released.
The study investigated the potential of the first 14mln tonnes of the South-East Crescent Zone, and as such represents only the beginnings of the economic modelling to be done at Havieron.
Greatland’s partner at Havieron, Newcrest, would bear the bulk of the up-front costs of getting Havieron into production, with Greatland’s share currently envisaged as US$73mln.
All-in sustaining costs are reckoned at just US$643 per ounce, with further reductions possible.
It is estimated that 17% of revenues will be generated by copper production.
"This maiden Pre-Feasibility Study focuses on the South-East Crescent and should be viewed as the first stage,” said Greatland’s chief executive Shaun Day.
“The study covers just a small fraction of the resource and the broader mineralised breccia system but is a tremendous first step towards creating a mine and unlocking our understanding and the value of Havieron. The investment proposition of Greatland is compelling, with Havieron confirmed as a world class ore body, being developed with a Tier 1 partner in Newcrest and all within a Tier 1 mining jurisdiction of Western Australia.”